UltraTech Cement Limited (ULTRACEMCO) AI Stock Analysis

• Market Cap: ₹3.64T
• Dividend Yield: 0.66%
• Average Volume (3M): 5.04K
• Price to Earnings (P/E): 47.5
• Beta (1Y): 1.16
• Revenue Growth: 14.50%
• EPS Growth: 11.26%
• Country: US
• Employees: 23,670
• Sector: Basic Materials
• Sector Strength: 58
• Industry: Construction Materials
• EPS (TTM): 58.62
• Shares Outstanding: 294,679,170
• 10 Day Avg. Volume: 2,991
• 30 Day Avg. Volume: 5,042
• PEG Ratio: -3.53
• Price to Book (P/B): 4.69
• Price to Sales (P/S): 4.36
• P/FCF Ratio: 214.57
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹15,000.00
• Price Target Upside: 26.10% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 76 Outperform
• Price Target: ₹13,976.00 ▲(17.49% Upside)

Score is driven primarily by strong financial performance (growth, profitability and operating cash generation) and a supportive technical trend. The biggest offset is expensive valuation (high P/E and low yield), while earnings-call commentary is net positive but acknowledges near-term pricing and cost risks.

Positive Factors

Market leadership & distribution

UltraTech’s scale and broad product portfolio create durable competitive advantages. Pan‑India manufacturing, deep distribution and an expanding RMC footprint support stable volume capture, procurement leverage and resilience across infrastructure, housing and institutional segments over the medium term.

Strong cash generation

Robust operating cash flow and a positive free-cash-flow-to-net-income ratio underpin UltraTech’s ability to self-fund aggressive capex and deleveraging. Persistent cash conversion reduces refinancing risk, supports phased expansion and asset monetizations, and bolsters balance sheet flexibility over coming quarters.

Scale expansion & operational efficiencies

A multi-year 22Mt capacity program combined with measurable operational gains (clinker ratio, lead distance, renewable mix) should lower per-ton costs and raise market share. Executed at scale, these structural improvements can sustainably improve margins and long‑term unit economics.

Negative Factors

Rising leverage

Higher leverage increases interest and liquidity risk, reducing the firm’s buffer during demand slowdowns. Even with deleveraging targets, elevated debt can limit strategic flexibility, constrain return of capital and amplify downside if capex execution or asset monetizations are delayed.

Industry capacity additions risk

Significant industry and company-led capacity growth can outpace demand in regions, exerting downward pressure on realizations. Persistent oversupply risks compress EBITDA per tonne and could blunt the benefits of cost efficiencies unless demand growth or market consolidation absorbs incremental volume.

Input cost inflation exposure

Volatile fuel and raw material costs, plus labor and currency pressures, pose a structural margin risk. Even with efficiency programs, sustained commodity inflation can erode per-ton economics and force difficult price pass-through decisions in competitive regional markets, impacting long-term profitability.

UltraTech Cement Limited Business Overview & Revenue Model

Company Description

UltraTech Cement Limited, together with its subsidiaries, manufactures and sells cement and cement related products in India. It offers ordinary Portland cement, Portland blast furnace slag cement, Portland Pozzolana cement, white cement, and white cement-based products; and ready-mix concrete. The company also provides Tile Adhesive polymer under TILEFIXO, FLEX, HIFLEX,MYKROFILL, Seal & Dry water proofing products for kitchen balconies, chajjas, slope roofs, bathrooms, canal linings, swimming pools, and water tanks; Power Grout, an industrial grout for machine foundation, precast elements, and safety vaults; Readi Plast and Super Stucco, a plastering agent for internal and external walls; as well as liquid system for mortar and concrete modifier, repair mortars and concrete under the name of Basekrete and Microkrete. In addition, the company offers bed jointing material for AAC block, Fly Ash Bricks, and concrete blocks, and light weight block for masonry construction, and flooring screeds. Further, the company offers construction products for home builders; and value-added services that include technical advice during concreting, vaastu consultancy, various training programs, and other related services. UltraTech Cement Limited exports its products to the United Arab Emirates, Bahrain, and Sri Lanka. The company was incorporated in 2000 and is based in Mumbai, India. UltraTech Cement Limited operates as a subsidiary of Grasim Industries Limited.

How the Company Makes Money

UltraTech Cement generates revenue primarily through the sale of cement and related products. The company operates numerous manufacturing plants across India and has a significant presence in the ready mix concrete segment, which further diversifies its offerings. Key revenue streams include direct sales to construction companies, retail sales through distributors, and exports to international markets. The company benefits from strategic partnerships with construction firms and government projects that ensure a steady demand for its products. Additionally, UltraTech Cement leverages its strong brand reputation and extensive distribution network to maintain competitive pricing, which contributes to its overall earnings.

UltraTech Cement Limited Financial Statement Overview

Summary

Strong and steady revenue growth with healthy EBIT/EBITDA margins and solid operating cash generation. Key offsets are slightly weaker net margin, rising leverage (higher debt-to-equity), and lower free cash flow due to elevated capex.

Income Statement

UltraTech Cement Limited has demonstrated robust growth in its income statement with steady increases in total revenue over the past several years, culminating in a 7.12% growth from 2024 to 2025. The gross profit margin is strong, reflecting efficient cost management, although the net profit margin has declined slightly due to increased expenses. The EBIT and EBITDA margins remain healthy, supporting the company's operational efficiency.

Balance Sheet

The balance sheet of UltraTech Cement shows a solid equity base, with an improving equity ratio indicating financial stability. However, the debt-to-equity ratio has increased due to rising debt levels, which could pose a risk if not managed properly. The return on equity is satisfactory, showcasing effective use of shareholder funds to generate profits.

Cash Flow

The cash flow statement reflects a strong operating cash flow, indicating effective cash generation from core operations. There has been a decline in free cash flow, primarily due to increased capital expenditures. Nonetheless, the company maintains a positive free cash flow to net income ratio, ensuring liquidity. The operating cash flow to net income ratio is robust, highlighting the company's ability to convert profits into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	791.61B	759.55B	709.08B	632.40B	525.99B	447.26B
Gross Profit	460.75B	438.32B	407.22B	350.34B	324.97B	293.09B
EBITDA	132.05B	123.86B	127.77B	104.45B	114.28B	114.26B
Net Income	65.68B	60.39B	70.05B	50.64B	73.44B	54.63B
Balance Sheet
Total Assets	0.00	1.34T	1.01T	913.87B	838.28B	861.84B
Cash, Cash Equivalents and Short-Term Investments	43.13B	58.31B	64.03B	84.20B	56.21B	131.75B
Total Debt	0.00	241.02B	114.03B	110.58B	112.99B	217.19B
Total Liabilities	-738.93B	598.04B	405.19B	371.18B	333.96B	420.03B
Stockholders Equity	738.93B	707.07B	602.27B	543.25B	504.35B	441.75B
Cash Flow
Free Cash Flow	0.00	15.44B	18.92B	28.68B	36.70B	105.78B
Operating Cash Flow	0.00	106.73B	108.98B	90.69B	92.83B	125.03B
Investing Cash Flow	0.00	-165.04B	-87.88B	-71.87B	22.57B	-88.59B
Financing Cash Flow	0.00	50.76B	-19.26B	-16.31B	-124.98B	-43.56B

UltraTech Cement Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 11895.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ULTRACEMCO, the sentiment is Positive. The current price of 11895.45 is below the 20-day moving average (MA) of 12093.01, above the 50-day MA of 11812.30, and below the 200-day MA of 11964.45, indicating a bullish trend. The MACD of 146.64 indicates Negative momentum. The RSI at 62.05 is Neutral, neither overbought nor oversold. The STOCH value of 84.70 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ULTRACEMCO.

UltraTech Cement Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ULTRACEMCO	76 Outperform	₹3.64T	47.47	―	0.66%	14.50%	11.26%
ACC	71 Outperform	₹313.67B	9.40	―	0.43%	15.13%	63.32%
AMBUJACEM	64 Neutral	₹1.28T	22.74	―	0.37%	14.92%	63.27%
RAMCOCEM	62 Neutral	₹248.76B	66.84	―	0.19%	-2.61%	34.66%
Sector *	61 Neutral	$10.43B	7.12	-0.05%	2.87%	2.86%	-36.73%
SHREECEM	57 Neutral	₹974.55B	56.70	―	0.73%	1.58%	-0.75%
NUVOCO	55 Neutral	₹124.86B	32.50	―	―	5.09%	458.10%

UltraTech Cement Limited Corporate Events

UltraTech Cement Publishes Q3 and Nine-Month FY2025 Results in Leading Dailies

UltraTech Cement Limited has announced that it has published the newspaper advertisements of its financial results for the quarter and nine months ended 31 December 2025, in compliance with Indian securities listing regulations. The results have been disseminated across multiple English-language business dailies with national and Mumbai editions, and are also available on the company’s website, underscoring its regulatory transparency and commitment to timely public disclosure for investors and other stakeholders across its various listings.

UltraTech Cement Posts Earnings Call Audio for December Quarter Results

UltraTech Cement Limited has announced that the audio recording of its earnings call discussing the financial results for the quarter ended 31 December 2025 is now available on the company’s investor relations website. By making this recording accessible, UltraTech is reinforcing its compliance with disclosure regulations and enhancing transparency for shareholders and global debt investors across Indian, Luxembourg, and Singapore exchanges.

UltraTech Cement Wins Major Relief as GST Authority Drops Large Tax Demand

UltraTech Cement Limited has disclosed that the Assistant Commissioner of State Goods and Services Tax in Trichy, Tamil Nadu, has issued an order dropping a substantial tax demand of Rs. 1,33,47,82,240 along with associated interest of Rs. 89,98,02,762 and penalty of Rs. 13,34,23,583 related to alleged delayed payment of tax and interest, while upholding only a minor penalty of Rs. 54,641, which the company will pay. The company stated that the order, received on 27 December 2025, does not have a material financial impact on its operations, signaling relief from a large potential liability and removing a regulatory overhang without affecting its ongoing business activities.

UltraTech Cement Sees Major GST Tax Demand Dropped, Minor Penalty Upheld

UltraTech Cement Limited has disclosed that it has received orders from the Assistant Commissioner, State Goods and Services Tax, Trichy, Tamil Nadu, relating to an alleged delayed payment of tax and interest. The authority has dropped a substantial tax demand of about Rs 1,334.8 crore, along with interest of roughly Rs 899.8 crore and a penalty of about Rs 13.34 crore, while upholding only a minor penalty of Rs 54,641, which the company will pay. UltraTech stated that the outcome of this GST proceeding has no material financial impact on its operations, easing a potential regulatory overhang for stakeholders.

UltraTech Cement Appoints New Compliance Officer to Enhance Regulatory Transparency

UltraTech Cement Limited has announced the appointment of Mr. Dhiraj Kapoor as the Company Secretary and Compliance Officer, effective December 1, 2025. Alongside Mr. K. C. Jhanwar, Managing Director, and Mr. Atul Daga, Chief Financial Officer, Mr. Kapoor is authorized to determine the materiality of events or information and disclose them to stock exchanges, in compliance with SEBI regulations. This move is significant for ensuring transparency and compliance in the company’s operations.